Legal Definitions - decree of furthcuming

A decree of furthcuming (also known as a "decree of forthcoming" in some legal systems) is a court order that compels a third party to release assets they hold belonging to a debtor, so those assets can be used to satisfy a debt owed to a creditor. This type of decree typically follows an initial court order that has already frozen or attached the debtor's assets held by that third party. Essentially, it makes the frozen assets "come forth" or be delivered to the creditor.

Here are some examples to illustrate this concept:

• Example 1: Bank Account Funds

  Imagine a situation where "Tech Solutions Inc." owes $75,000 to "Office Supplies Co." for unpaid invoices. Office Supplies Co. sues Tech Solutions Inc. and wins a court judgment for the debt. Office Supplies Co. then discovers that Tech Solutions Inc. has $50,000 in a business checking account at "Community Bank."

  Office Supplies Co. would first obtain a court order to freeze the funds in Tech Solutions Inc.'s account at Community Bank. To actually *get* that money, Office Supplies Co. would then apply for a decree of furthcuming. The court would issue this decree, ordering Community Bank (the third party) to transfer the $50,000 from Tech Solutions Inc.'s account directly to Office Supplies Co. (the creditor) to partially satisfy the outstanding debt.

• Example 2: Goods Held in a Warehouse

  Consider "Artisan Furniture Makers," a company that owes a substantial amount to "Timber Supply Ltd." for a large shipment of specialty wood. Artisan Furniture Makers has defaulted on payments and has a significant portion of its finished furniture inventory stored in a third-party facility, "Secure Storage Solutions."

  Timber Supply Ltd. obtains a judgment against Artisan Furniture Makers but cannot directly access the furniture. Timber Supply Ltd. would first secure an order attaching the furniture inventory held at Secure Storage Solutions. To take possession of this inventory (perhaps to sell it and recover some of the debt), Timber Supply Ltd. would then seek a decree of furthcuming. The court would issue this decree, directing Secure Storage Solutions (the third party) to release the specified furniture inventory to Timber Supply Ltd. (the creditor), allowing Timber Supply Ltd. to liquidate the assets and recoup some of the money owed.

• Example 3: Rent Payments Due to a Landlord

  Suppose "Urban Developments LLC" owes a significant sum to "Construction Crew Inc." for renovation work. Urban Developments LLC owns several commercial properties, and one of its tenants, "Downtown Eatery," pays $10,000 in rent monthly to Urban Developments LLC.

  Construction Crew Inc. has a judgment against Urban Developments LLC but is having difficulty collecting. Construction Crew Inc. could first obtain an order attaching the rent payments owed by Downtown Eatery to Urban Developments LLC. To ensure these payments are directed to them, Construction Crew Inc. would then apply for a decree of furthcuming. The court would issue this decree, ordering Downtown Eatery (the third party) to pay its monthly rent directly to Construction Crew Inc. (the creditor) instead of Urban Developments LLC, until the debt is fully satisfied.